Karachi: Engro Fertilizers and Bank Alfalah Limited have announced a strategic partnership to provide financing to farmers across Pakistan. The initiative will offer loans of up to PKR 1 million, benefiting approximately 350 farmers and impacting around 2,000 lives.

The partnership was formalized at a signing ceremony held at Bank Alfalah's Head Office in Karachi. Key figures in attendance included Ali Rathore, CEO of Engro Fertilizers, and Atif Bajwa, President and CEO of Bank Alfalah Limited.

The project launches with a funding allocation of PKR 250 million, with average loan amounts of PKR 0.6 million. The program aims to create a direct value chain between Engro Fertilizers, Bank Alfalah, and farmers. Initially, the program will be available at four Engro Markaz locations: Sahiwal, Sargodha, Bahawalpur, and Muridke.

The initiative is designed to offer farmers clean, collateral-based loans at subsidized interest rates, up to 4.5% lower than market rates. This financial support is expected to enable farmers to buy quality fertilizer products, improve crop yields, and increase their income.

The collaboration also includes digitized payment solutions and a closed-loop spending system via P2M transaction enablement. As highlighted by the Pakistan Economic Survey and the World Bank, agricultural financing can significantly impact crop yields and poverty reduction.

Engro Fertilizers' CEO, Ali Rathore, emphasized the importance of supporting farmers who sustain Pakistan's economy. He noted that the collaboration with Bank Alfalah aims to improve farmers' access to resources, promoting sustainable agriculture.

Atif Bajwa, CEO of Bank Alfalah, highlighted the potential of Pakistan's agricultural sector and the role of accessible financing. He stated that tailored lending solutions would enhance farmers' productivity, contributing to national food security and economic stability.

This partnership marks a commitment to bridging the gap between financial institutions and the agricultural community, fostering a more inclusive and productive rural economy.